Scomi Group Bhd surprised investors when it proposed to revise its current issued share capital reduction from RM224.96mil to RM3mil from the earlier RM40mil.
KUALA LUMPUR: Selangor Properties Bhd's Wen family has raised its offer to take the company private again by 30 sen to RM6.30 per share.
The Wen family via their investment vehicle Kayin Holdings Sdn Bhd said in a statement on Tuesday it had revised the proposed selective capital reduction (SCR) and repayment offer price again from the earlier RM6.
This was the second revision from the earlier RM5.70 announced on Dec 17. The offer to privatise the property company was announced in October.
Selangor Properties said the board, except for the interested directors, had deliberated on the revised proposal letter. The proposed SCR would be tabled to shareholders.
“Consequent to the revision of the SCR offer price, the entitled shareholders will receive a total capital repayment of RM687.76mil which represents a cash repayment of RM6.30 for each share held by the entitled shareholders on the entitlement date,” it said.
It said the issued share capital would be reduced by up to RM687.76mil under the proposed SCR.
As the issued share capital to be reduced is higher than the existing issued share capital of RM545.37mil. Selanogr Properties will undertake a bonus issue of up to 382.09 million shares.
This will involve the capitalising up to RM382.09mil from its retained earnings to increase the share capital of up to a level sufficient for the capital reduction.
It added the proposed bonus issue was proposed to facilitate the implementation of the proposed SCR.
To recap, the proposed exercise was expected to be funded via SPB’s internally generated funds and/or bank facilities to be obtained by Selangor Properties.
SPB, the major developer of Pusat Bandar Damansara in Kuala Lumpur back in the 1980s, owns several properties in Malaysia and Australia.
According to Selangor Properties’s annual report, the total book value of its properties in Malaysia – which included several plots of prime land and office buildings in Damansara Heights and Bukit Tunku in Kuala Lumpur – stood at RM1.24bil as of Oct 31, 2017.
Selangor Properties owns two properties in Claremont, Australia with a cumulative book value of RM190.4mil.
At midday, it was up one sen to RM5.76.
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